ST Weights CIS Outsourcing

Digitimes: ST is looking to outsource manufacturing of its CMOS image sensors to TSMC and ProMOS, according to industry sources.

ProMOS chairman ML Chen has confirmed that his company has been in talks with ST about the outsourcing of CMOS imaging chips, but that nothing has been set.

ST has been producing the chips and modules at its in-house facilities so far. But the company is heading towards outsourcing in order to expand its market share and lower its production costs, the sources said. It is also considering selling CMOS sensor chips alone, in line with clients' wishes that they can purchase the chips and package them into modules themselves, the sources added.

The sources noted that STMicroelectronics currently produces its CMOS imaging chips mostly at its 8-inch fabs. As depreciation and amortization for the 8-inch fabs is almost completed, its production costs are competitive. But as demand for higher resolution sensors is growing, it is necessary to increase production of the sensors at 12-inch fabs, and Taiwan is a place to look for such foundry partners, the sources said.

Chen said ProMOS is confident it can produce CMOS image sensors, and its 12-inch FAB II is one of few 12-inch fabs that can provide such outsourcing services in Taiwan. ProMOS's 12-inch fab is also cost competitive because its depreciation and amortization is almost complete, Chen said.
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Now tell me about IDMs overtaking fabless in image sensors!